To stop competing with low prices, companies in Honduras focus on improving the quality of the grain they produce.
In the last few days on the New York Stock Exchange the ton of cocoa has been quoted at about $2,655, however, the better quality produced in the country allows companies like Chocolats Halba to pay local producers $4,000 per ton.
Luis Velex, manager of Chocolats Halba, a company that began operations in Honduras in 2008, told Laprensa.hn that "... Before we came here, there wasn't even a pound of fine chocolate produced here. This post-harvest process was taught, and our technicians follow up to ensure that the quality is maintained."
Although Guatemala's foreign sales continue to decline, an improvement is expected towards the end of the year, which would be explained by a rebound in the prices of some agricultural products.
Figures from the Bank of Guatemala (Banguat) specify that in the first six months of the year sales abroad totaled $5,666 million, a figure that is just 0.3% lower than the $5,681 million reported in the same period of 2018.
In October the composite indicator of the International Coffee Organization continued its downward trend, averaging 120.01 cents per pound, the lowest level since May 2016.
From a statement issued by the International Coffee Organization:
Record Exports for Coffee Year 2016/17
Total exports in September 2017 reached 8.34 million bags, compared to 9.8 million in September 2016.
In August, the international coffee price index recorded the highest value in the last four months, but rapidly declined again, in light of the high inventory reported by importing countries.
From the report "Monthly Coffee Market Report - August 2017":
Coffee prices climb to a 4‐month high but subsequently fall in view of a well‐supplied market
Milk and meat producers have reported discrepancies between the prices paid by slaughterhouses and international market prices.
The Federation of Livestock in Nicaragua (Faganic), the National Union of Agricultural Producers in Nicaragua (UPANIC), and the Nicaraguan Chamber of the Milk Sector (CANISLAC) have reported that four slaughterhouses are distorting the local market by allegedly paying prices that are lower than international prices.
A project is being promoted for price risk management in order to reduce losses caused by constant changes in the international price of grain.
The Association of Producers and Exporters in Nicaragua (APEN) together with the Agricultural Exchange, SA (Bagsa) is promoting a digital platform on which producers can consult the international prices of their products and the development of a hedging instrument, ie insurance against falling prices.
In November, the consumer price index recorded a rise of 1.39%, placing accumulated inflation since January at 6.50%.
From the inflation report by the Central Bank of Nicaragua:
November's monthly inflation rate stood at 1.39% (0.45% in December 2013), mainly determined by the behavior of prices in the divisions of food and non-alcoholic drinks; restaurants and hotels; and recreation and culture, which together contributed 1.50% to the observed variation. In contrast, the transport division saw a fall of 1.87%.